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Lasting impact: AIIB president highlights success the China Integrated Waste Management project

September 11, 2025

As the world’s largest CO₂ emitter, China plays a crucial role in global climate change mitigation. While only 1.5 per cent of China’s total CO₂ emissions originated from the waste sector in 2005, rapid urbanisation and population growth make this sector increasingly important for emission reduction. By 2030, the mitigation potential of municipal solid waste (MSW) is estimated at 230.4 Mt CO₂e annually.

Waste segregation in the context of the China Integrated Waste Management project.

The China Integrated Waste Management project

To address this, our China Integrated Waste Management (IWM) project demonstrated how integrated waste management and waste-to-energy systems can be developed as profitable business cases. Implemented in five municipalities – Taian, Xi’an, Lanzhou, Bengbu and Suzhou – the project promoted good practices in waste management, builstakeholder capacity, and provided policy advice to reduce market barriers and foster low-carbon pathways. Between 2019 and 2021, the project already achieved cumulative direct GHG emission reductions of approximately 4 million tons of CO₂e. By now, 6,441,658 tCO2₂e were reduced by the project from its start in 2019 until the end of 2023, far exceeding the original emission reduction target by a factor of eight.

Paper and cardboard re-manufacturing in Lanzhou.

Key learnings from the project

To capture and share these lessons more broadly, we have published a new Evaluation & Learning Factsheet on the China Integrated Waste Management project, highlighting key success factors, challenges, and transferable insights for other countries tackling waste-related emissions.

High-level visit by AIIB underlines the lasting impact

A recent high-level visit underscored the project’s success: On 10 September 2025, Mr. Jin Liqun, President of the Asian Infrastructure Investment Bank (AIIB), visited Suzhou – one of the project’s pilot cities – and received a briefing on the city’s cooperation with GIZ. The visit included a tour of the Shishan sorting center, where staff from SZT company presented Suzhou’s approach to handling low-value recyclables, including waste segregation, recycling processes, and resource utilisation that helps reduce reliance on incineration.

President Jin commended Suzhou’s efforts, noting that

“promoting urban waste reduction through the sorted collection of low-value recyclables not only enhances the social benefits of waste management but also achieves economic value through resource utilization via precise waste segregation. This innovative approach should be widely promoted.”

The AIIB applauded the achievements, highlighting the well-established low-carbon waste management model of the Mitigation Action Facility project, the business model for low-value plastic recycling and lifecycle assessment analysis, and the flexible plastic recycling solutions.

Looking ahead, AIIB expressed strong interest in continued cooperation, including the upcoming pre-feasibility study supported under the GAP Fund.

This recognition underscores how the integrated waste management approach has created a pipeline of successful, interconnected initiatives – carrying impact from one project to the next and contributing to China’s carbon-neutral transformation.

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